Market Comments: As of June 2015
The ongoing Greek debt saga intensified in the final days of June, culminating with a missed payment to the International Monetary Fund on the last day of the month. Uncertainty around a final resolution to Greece’s woes likely increased market volatility, and drove most major indices to monthly losses. The S&P 500 lost 1.94%, while international stocks fared worse, down 2.83%. Despite the short-term swings in the market, the risk of contagion from the Greek crisis appears well contained. What may have been overshadowed by the headlines though is that the U.S. economy seems to be picking up the pace after a sluggish start to the year. Labor markets continue to progress, nascent signs of wage growth have led to an increase in consumer spending, and residential investment activity is recovering at a quicker rate.